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Microsoft Extends OpenAI Partnership With $1 Billion Investment for AI Development in Azure

Microsoft has invested $1 billion in OpenAI, which will use Azure to work with Microsoft to develop beneficial AI solutions.


We have seen a lot of images of CEO posing next to heads of other companies recently. Microsoft has been tying up plenty of huge partnerships around its Azure cloud division, including with AT&T and Adobe. The latest such collaboration is a multiyear deal to work alongside , a San Francisco-based firm that specializes in AI that helps further humanity.

Not only is Microsoft partnering with OpenAI, the company is becoming an active investor in the company. Indeed, Redmond is ploughing $1 billion into the company. In return, OpenAI will move all its services to Azure. Furthermore, the AI developer will also make Microsoft its preferred partner for commercializing new AI solutions.

Microsoft will work with OpenAI to develop new AI supercomputing tech with the aim of solving major global issues:

“The companies will focus on building a computational platform in Azure of unprecedented scale, which will train and run increasingly advanced AI models, include hardware technologies that build on Microsoft's supercomputing technology, and adhere to the two companies' shared principles on ethics and trust. This will create the foundation for advancements in AI to be implemented in a safe, secure and trustworthy way and is a critical reason the companies chose to partner together,” Microsoft explained in the press release.

Ongoing Collaboration

This is not the first time that Microsoft has worked with OpenAI. Back in 2016, the companies announced an Azure deal that included the use of robotics. The partnership saw OpenAI adopt cloud services as its “preferred” platform for artificial intelligence development. Microsoft received access to experts and robotics that work for the nonprofit group.

Speaking about the extension of the collaboration and Microsoft's investment, Nadella said AI has the power to change the world:

“AI is one of the most transformative technologies of our time. It has the potential to help solve many of our world's most pressing challenges,” said Microsoft CEO Satya Nadella. “By bringing together OpenAI's breakthrough technology with new supercomputing technologies, our ambition is to democratize AI — while always keeping AI safety front and center — so everyone can benefit,” Nadella said in the press release.

Last Updated on February 23, 2023 1:47 pm CET

Luke Jones
Luke Jones
Luke has been writing about all things tech for more than five years. He is following Microsoft closely to bring you the latest news about Windows, Office, Azure, Skype, HoloLens and all the rest of their products.

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